Daily Investment Interpretations
April 8, 2009
The big news tonight isn't about the U. S.
Markets but about the Chinese economy and the Chinese stock market... not that
I'm aware of any breaking news about China, but about the fact that a general
perception that the Chinese market has taken off is permeating the various
advisory services to which I subscribe. Unfortunately, my Norton Antivirus
program chose tonight to terminate without warning, In the process, it shut down
my computer without giving me a chance to save the material that I had typed
here, so I'll have to try to expand on this in the morning. I'll only mention
that the Cabot China and Emerging Markets Newsletter has already flashed a buy
signal for three Chinese stocks, of which is Shanda Interactive
Entertainment (SNDA), which closed today, at $45, up 50% from its price of $30
when it was recommended a month or so ago. Another is the Aluminum Company of
China (ACH) which closed today at $17.53 a share, up about 10% from its
recommended price of $16 a share, and up 17% from the price at which I bought
it. However, the best choice may be the iShares TR FTSE (China) ETF
(Exchange-Traded Fund), symbol: FXI, for reasons that I'll discuss tomorrow.
Sorry! Got to split! I'll add to this tomorrow.